Latest news with #NationalDebtManagementCenter
Arab News
3 days ago
- Business
- Arab News
Saudi Arabia opens June round of Sah savings sukuk with 4.76% return
RIYADH: Saudi Arabia has opened the June subscription window for its savings sukuk product 'Sah,' offering a return rate of 4.76 percent, as part of its 2025 issuance calendar. Organized by the National Debt Management Center under the Ministry of Finance, Sah is the Kingdom's first savings-focused sukuk designed for individual investors. The Shariah-compliant, riyal-denominated product is part of the local bonds program aimed at fostering financial inclusion and increasing personal savings. The June issuance opened for subscription from 10 a.m. on Sunday, June 1, until 3 p.m. on Tuesday, June 3. The bonds are structured for a one-year term with fixed returns, and profits will be paid at maturity. The minimum subscription is set at one bond with a value of SR1,000 ($266.56), while the maximum subscription per investor is capped at SR200,000. The product aligns with the Financial Sector Development Program under Saudi Vision 2030, which targets raising the national savings rate from 6 percent to 10 percent by 2030. The June issuance of Sah offers a slightly higher return compared to May, rising to 4.76 percent from the previous month's 4.66 percent, reflecting marginal shifts in market conditions. While both issuances maintain the same structure — Shariah-compliant, riyal-denominated sukuk with a one-year maturity and fixed returns — the June window opened slightly earlier in the month, running from June 1 to June 3, compared to May's window from May 4 to May 6. Subscription terms remain unchanged, with a minimum investment of SR1,000 and a cap of SR200,000 per individual. Both offerings are accessible through the same network of approved financial institutions. Sah is promoted as a secure, fee-free savings instrument offering stable, government-backed returns. Eligible investors must be Saudi nationals aged 18 and above and must subscribe through approved platforms provided by SNB Capital, Aljazira Capital, and Alinma Investment, as well as SAB Invest, or Al-Rajhi Capital. The sukuk is issued monthly, and the return rate for each tranche is determined based on prevailing market conditions. NDMC CEO Hani Al-Medaini said in March that the sukuk serves as a catalyst for private sector cooperation and participation in developing and launching various savings products tailored to diverse demographics. These initiatives could involve partnerships with banks, fund managers, financial technology companies, and more.
Saudi Gazette
25-05-2025
- Business
- Saudi Gazette
Saudi Arabia completes SR60.4 billion debt buyback, issues SR60.3 billion in new sukuk
Saudi Gazette report RIYADH — Saudi Arabia's National Debt Management Center (NDMC) has completed an early buyback of government debt maturing between 2025 and 2029, with a total value of approximately SR60.4 billion, while simultaneously issuing SR60.3 billion in new sukuk across five tranches. The initiative is part of NDMC's strategy to enhance the efficiency of public debt management and support the development of the local debt market. It also aligns with broader efforts to strengthen public finances and optimize the government's debt maturity profile over the medium and long term. The new sukuk issuances are structured as follows: The first tranche amounts to SR21.5 billion, maturing in 2032. The second tranche is valued at SR1.8 billion and matures in 2035. The third tranche totals SR14.2 billion with maturity in 2036, while the fourth tranche is SR5.9 billion, maturing in 2039. The fifth and final tranche is SR16.9 billion, with a maturity set for 2040. The transaction reflects continued demand for Saudi sukuk and forms part of the Kingdom's commitment to proactive fiscal planning and sustainable financial policy under Vision 2030. The Ministry of Finance and NDMC appointed HSBC Saudi Arabia, AlAhli Capital, Al Rajhi Capital, AlJazira Capital, and Alinma Investment as joint lead managers for the issuance.
Arab News
04-05-2025
- Business
- Arab News
Saudi Arabia opens May round of Sah savings sukuk with 4.66% return
RIYADH: Saudi Arabia launched the May issuance of its Sah savings sukuk, offering retail investors a fixed return of 4.66 percent as the government continues to push savings participation. The sukuk, part of the country's broader local bond program, is issued by the Ministry of Finance and managed by the National Debt Management Center. It is available for subscription from May 4 at 10:00 a.m. until May 6 at 3:00 p.m. local time, the NDMC said in a statement. As part of the Vision 2030 Financial Sector Development Program, the initiative aims to boost personal savings by encouraging regular fiscal habits, expanding product access, and promoting financial literacy to support future goal planning. The offering, denominated in riyals, also supports the goal of raising the national savings rate from 6 percent to 10 percent by the decade's end. The sukuk carries a one-year maturity and can be purchased in increments of SR1,000 ($266), with a cumulative cap of SR200,000 per individual across all program issuances. Allocation is scheduled for May 13, with redemption occurring between May 18 and 20. Payments will be disbursed on May 25. The Sah sukuk is accessible through digital platforms operated by SNB Capital, Al Rajhi Capital, and AlJazira Capital, as well as Alinma Investment and SAB Invest. The May issuance of the Sah savings product follows the fourth round issued in April, which offered a 4.88 percent return under the Ijarah sukuk structure. Available through the digital platforms of approved financial institutions, the bonds featured a one-year savings term with fixed returns payable at maturity. The minimum subscription was SR1,000, with a maximum cumulative limit of SR200,000 per user across all issuances during the program period. Sah is Saudi Arabia's first Shariah-compliant savings instrument for individuals. Structured under the Ijarah model — where returns are derived from leasing-based assets — the product is designed to offer a low-risk, fixed-income alternative with no fees and exemption from Zakat. Returns are paid upon maturity, with early redemptions allowed during set windows but without profit entitlement. NDMC CEO Hani Al-Madini said in March that Sah that the sukuk serves as a catalyst for private sector cooperation and participation in developing and launching various savings products tailored to diverse demographics. These initiatives could involve partnerships with banks, fund managers, financial technology companies, and more. In late February, the NDMC confirmed it would continue using the Ijarah format for future issuances to provide accessible, low-risk savings solutions.
CairoScene
27-04-2025
- Business
- CairoScene
Saudi Arabia Raises SAR 3.71 Billion Through April 2025 Sukuk Issuance
The National Debt Management Center completed allocations across four tranches under the Saudi Government Sukuk Program. Saudi Arabia's National Debt Management Center (NDMC) has announced the completion of its April 2025 issuance under the Saudi Arabian Government Sukuk Program, securing a total allocation of SAR 3.71 billion. The sukuk were issued across four tranches. The first tranche raised SAR 1.315 billion and will mature in 2029. The second tranche secured SAR 80 million, with a maturity date in 2032. The third tranche brought in SAR 765 million and will mature in 2036. The fourth and largest tranche raised SAR 1.550 billion, with a scheduled maturity in 2039. This issuance is part of the NDMC's broader strategy to support the Kingdom's Vision 2030 goals by enhancing local debt markets and providing secure investment opportunities for local and international investors. The Saudi Arabian Government Sukuk Program plays a key role in diversifying funding sources and strengthening the domestic debt market, which has seen consistent growth over recent years.
Argaam
22-04-2025
- Business
- Argaam
NDMC closes April issuance of Sukuk program at SAR 3.7B
The National Debt Management Center (NDMC) closed receiving investor orders for its domestic issuance for April 2025, under the Saudi Arabian Government SAR-denominated Sukuk Program. The total volume allocated was SAR 3.71 billion, NDMC said in a statement today, April 22. The sukuk issuance was divided into four tranches. The first was valued at SAR 1.315 billion, maturing in 2029; the second was worth SAR 80 million, maturing in 2032; the third amounted to SAR 765 million, maturing in 2036; and the fourth was valued at SAR 1.55 billion, maturing in 2039.
